Academia.eduAcademia.edu

Outline

Title
Abstract
Introduction
Literature Review
Characterization of the Portuguese Case
Materials and Methods
Participants
Methods
Results
Strategies for the Future
Lessons for the Future
Discussion and Conclusions
References
All Topics
Business and Management
Marketing

The Impact of Pandemic Crisis on the Restaurant Business

Profile image of Teresa PalrãoTeresa Palrão

2020, Sustainability

Abstract

The COVID-19 pandemic is responsible for a health crisis and, at the same time, for a sharp drop in activities of economic sustainability, particularly in tourism management, and has consequences in most countries that are still difficult to measure. The objective of this research is to identify restaurant entrepreneurs’ perceptions about the future, government measures, strategies they will apply, and lessons learned for the future after the mandatory lockdown of restaurants and hospitality establishments related to pandemics. The framework was developed through content analysis with line-by-line coding applied to questionnaires collected online from Portuguese restaurant entrepreneurs. The results reveal the existence of common concerns to all entrepreneurs in the restaurant business for the post-pandemic period, about the measures that the governments should implement, and about the strategies and lessons learned for the future. Resilience in face of the future, fear of a lack of...

Related papers

The COVID-19 Impacts on the Hospitality Industry Highlights from Experts in Portugal
Inês Carvalho

Tourism and hospitality management

Purpose - To better understand the impact of COVID -19 on the tourism sector, with a focus on the hospitality industry, and how these changes will affect the sector and business responsiveness. Design - This is research focusing on the COVID-19 impacts on the hospitality sector in Portugal. The study reports in detail how a group of experts perceived this critical situation caused by the pandemic. Methodology - For data collection, a focus group was conducted with six experts in the field. A thematic analysis was conducted to interpret the data and NVivo software was used to organise and define the themes. Findings - Experts emphasised the massive collective dismissals in large hotel chains, the possible loss of 50 million jobs in the tourism sector, and the negative impact on the entire value chain. The low occupancy rate had a negative financial impact, as total revenues in the sector plummeted by more than 70% compared to the previous year. This pandemic required significant adju...

View PDFchevron_right
An Analysis of Inglo Restaurant's Strategies in Retaining Consumers in the Covid-19 Pandemic Era
Ghifary Ramadhan

The Journal Gastronomy Tourism, 2021

Strategy is an important thing that can influence the sustainability of the restaurant. All policies to be realized, always go through a strategic process. This research was conducted at the Inglo restaurant with the aim of knowing the strategies used by the Inglo restaurant to defend consumers during the Pandemic era. The method used in this research is descriptive qualitative using purposive sampling technique through observation, interviews and documentation. Seeing that the pandemic era is still a threat, the strategies used by the Inglo restaurant can still increase, decrease and change. The results of this study show that the Inglo restaurant has three main strategies, namely implementing health protocols, providing services through online media and reducing costs. This strategy was successful in maintaining the sustainability of the Inglo restaurant in its business and the strategy implemented was able to maintain consumers in terms of service, good image of the Inglo restaur...

View PDFchevron_right
Impact of COVID -19 on the hospitality industry: Climbing towards recovery
Kahkasha Wahab

International European Extended Enablement in Science, Engineering & Management (IEEESEM), 2021

This comprehensive research has been undertaken to evaluate the impact of COVID-19 in the hotel and restaurant industry. Amid temporary closures, introducing drive-thru, pickup , third party deliveries, implementation of new technologies, and finally reopening, the restaurant industry and gone through ups and downs. Many restaurants could not afford to return to business and many lost track and employees. To evaluate the impact of COVID-19, this paper has discussed the three vital stages of the recent life of the restaurant-"Pre COVID-19", "During COVID-19" and "After COVID-19". The descriptive research has been conducted on independent restaurants to shed light on how COVID-19 has impacted them and also suggested the possible effects of survival. A variety of key themes have arisen from the findings. Firstly, the reopened hotels and restaurants workers have laid off or furloughed more than 50% of workers in Bangladesh. According to a National Restaurant Association study of the economic impact of the coronavirus crisis, the entire restaurant industry is forecast to sustain $240 billion in losses by the end of 2020. Secondly, contrary to previous research, we find that many small companies are financially weaker than before. Therefore, the purpose of this analysis is also to explore the potential effect of the COVID-19 in the hospitality sector due to the restricted movement, summarize the lessons that were learned from other similar epidemics and global crises, and exploring the potential steps towards recovery.

View PDFchevron_right
COVID-19’s Impact on the Restaurant Industry
Filipa Campos

Sustainability

The restaurant industry contributed to the creation of wealth and employment until the end of 2019, when it reached maximum values. However, with the COVID-19 pandemic in early 2020, this sector suffered a very serious economic and employment crisis. The analysis of this situation is imperative to mitigate the consequences for the restaurant industry and to prevent impacts in future crises. The main purpose of the present study is to compare the years 2019 and 2020, analyzing the profitability, payroll costs, headcount, and indebtedness of the restaurants, to verify the COVID-19 pandemic’s impact in Spain and Portugal. Quantitative research was applied, where a descriptive analysis and hypothesis testing were conducted. SABI database was the secondary data source used in this research. The results show that the COVID-19 pandemic has had an impact on profitability, efficiency, and indebtedness in the restaurant industry, being a generalized situation in both countries, in all regions...

View PDFchevron_right
Experiences of Restaurant Business in the Covid- 19: Evidence from Rajshahi City, Bangladesh
Anusuya Sarkar

Article, 2021

The restaurant business in Bangladesh has no institutional recognition. It has no mentionable business guidelines and juridical structures to combat any epidemic like coronavirus diseas-19 (COVID-19). Because of not having a legitimate basis this sector is suffering a serious financial crisis in the global pandemic. Revenues generating ability has drastically decreased when the government ordered for shutting down the non-essential organization to fight against the spreading the coronavirus. At the same time government also imposes stay order on various special programs like weeding, birthday, new-year celebration, and Iftar party which is directly related to restaurant business. This article, therefore, focuses on the impact of COVID-19 in the restaurant business in Bangladesh. Data were collected through purposive sampling method through a questionnaire. For analyzing the data the statistical package for the social science (SPSS) v. 24.0 was applied. Datasets were analyzed with a ...

View PDFchevron_right
Independent restaurant operator perspectives in the wake of the COVID-19 pandemic
Melinda Patience

International Journal of Hospitality Management, 2021

This is a PDF file of an article that has undergone enhancements after acceptance, such as the addition of a cover page and metadata, and formatting for readability, but it is not yet the definitive version of record. This version will undergo additional copyediting, typesetting and review before it is published in its final form, but we are providing this version to give early visibility of the article. Please note that, during the production process, errors may be discovered which could affect the content, and all legal disclaimers that apply to the journal pertain.

View PDFchevron_right
The Impact of the Pandemic Crisis on Changes in the Management of Hospitality Businesses in Slovakia
Anna Šenková

2023

The main topic of the paper is the impact of the global pandemic, which arose because of the spread of COVID-19 disease to accommodation and catering facilities in Slovakia. The paper consists of three parts. In the first part of the paper, we define the basic concepts and information related to the studied issue, which were obtained through literary research mainly of foreign Internet sources. In the second part of the thesis, we focus on identifying factors influencing the operation of accommodation and catering facilities during the period of global crisis and proposing solutions to mitigate their impact. We drew attention to the current crisis, which arose because of the outbreak of the global pandemic and the war in Ukraine. Hospitality establishments have been hardest hit by this crisis, so they have also become the subject of our investigation. In the third part of the paper, we present the results of the analysis of primary data obtained through a questionnaire survey from persons in leading positions of accommodation and catering facilities in Slovakia. The research results were processed using mathematical-statistical methods, presented graphically and conclusions and recommendations were drawn from them.

View PDFchevron_right

References (61)

  1. Banco de Portugal. Análise Do Dinamismo Empresarial em Portugal. Estudos da Central de Balanços; Banco de Portugal: Lisbon, Portugal, 2019.
  2. Gnonlonfoun, R. Restaurants Owner Strategies for Financial Sustainability Beyond 5 Years. Ph.D. Thesis, Walden University, Minneapolis, MN, USA, 2017.
  3. Sigala, M. Tourism and COVID-19: Impacts and implications for advancing and resetting industry and research. J. Bus. Res. 2020, 117, 312-321. [CrossRef] [PubMed]
  4. Severson, K.; Yaffe-Bellany, D. Independent Restaurants Brace for the Unknown. The New York Times, 21 March 2020; A10.
  5. Kim, J.; Kim, J.; Lee, S.K.; Tang, L. Effects of epidemic disease outbreaks on financial performance of restaurants: Event study method approach. J. Hosp. Tour. Manag. 2020, 43, 32-41. [CrossRef]
  6. Garrigós-Simón, F.J.; Galdón-Salvador, J.L.; Gil-Pechuán, I. The Economic Sustainability of Tourism Growth through Leakage Calculation. Tour. Econ. 2015, 21, 721-739. [CrossRef]
  7. Núñez-Ríos, J.E.; Sánchez-García, J.Y.; Rojas, O.G.; Olivares-Benitez, E. Factors to Foster Organizational Sustainability in Tourism SMEs. Sustainability 2020, 12, 8657. [CrossRef]
  8. Iuga, I.C.; Mihalciuc, A. Major Crises of the XXIst Century and Impact on Economic Growth. Sustainability 2020, 12, 9373.
  9. IMF. World Economic Outlook, April 2020: The Great Lockdown; IMF: Washington, DC, USA, 2020.
  10. Muller, C. Will Dine-In Restaurants Survive the Pandemic? Futurity. 19 May 2020. Available online: https://www.futurity.org/ restaurants-after-covid-19-pandemic-2369632/ (accessed on 26 May 2020).
  11. Alonso-Almeida, M.D.M.; Bagur-Femenias, L.; Llach, J.; Perramon, J. Sustainability in small tourist businesses: The link between initiatives and performance. Curr. Issues Tour. 2015, 21, 1-20. [CrossRef]
  12. La Marca, A.; Niederberger, C.; Pellicer, A.; Nelson, S.M. COVID-19: Lessons from the Italian reproductive medical experience. Fertil. Steril. 2020, 113, 920-922. [CrossRef]
  13. Nicola, M.; Alsafi, Z.; Sohrabi, C.; Kerwan, A.; Al-Jabir, A.; Iosifidis, C.; Agha, M.; Agha, R. The socio-economic implications of the coronavirus pandemic (COVID-19): A review. Int. J. Surg. 2020, 78, 185-193. [CrossRef]
  14. Batat, W. How Michelin-starred chefs are being transformed into social bricoleurs? An online qualitative study of luxury foodservice during the pandemic crisis. J. Serv. Manag. 2020. ahead-of-print. [CrossRef]
  15. Alonso-Almeida, M.d.M.; Bremser, K.; Llach, J. Proactive and reactive strategies deployed by restaurants in times of crisis: Effects on capabilities, organization and competitive advantage. Int. J. Contemp. Hosp. Manag. 2015, 27, 1641-1661. [CrossRef]
  16. Santich, B. The study of gastronomy and its relevance to hospitality education and training. Int. J. Hosp. Manag. 2004, 23, 15-24.
  17. Namkung, Y.; Jang, S. Are highly satisfied restaurant customers really different? A quality perception perspective. Int. J. Contemp. Hosp. Manag. 2008, 20, 142-155. [CrossRef]
  18. Jones, A.; Jenkins, I. 'A Taste of Wales-Blas Ar Gymru': Institutional malaise in Promoting Welsh food Tourism Products, 1st ed.; Routledge: London, UK, 2002; p. 17.
  19. Erkmen, E. Managing Restaurant Attributes for Destination Satisfaction: What Goes beyond Food? Adm. Sci. 2019, 9, 19. [CrossRef]
  20. Meneguel, C.R.d.A.; Mundet, L.; Aulet, S. The role of a high-quality restaurant in stimulating the creation and development of gastronomy tourism. Int. J. Hosp. Manag. 2019, 83, 220-228. [CrossRef]
  21. Yüksel, A.; Yüksel, F. Market Segmentation Based on Tourists' Dining Preferences. J. Hosp. Tour. Res. 2002, 26, 315-331. [CrossRef]
  22. Kivela, J.; Crotts, J.C. Tourism and Gastronomy: Gastronomy's Influence on How Tourists Experience a Destination. J. Hosp. Tour. Res. 2006, 30, 354-377. [CrossRef]
  23. Johnson, C.; Surlemont, B.; Nicod, P.; Revaz, F. Behind the Stars: A Concise Typology of Michelin Restaurants in Europe. Cornell Hotel Restaur. Adm. Q. 2005, 46, 170-187. [CrossRef]
  24. Pavesic, D. Setting the Table: The Transforming Power of the Hospitality Business, by Danny Meyer. J. Culin. Sci. Technol. 2012, 10, 271-275. [CrossRef]
  25. Parsa, H.G.; Kreeger, J.C.; van der Rest, J.-P.; Xie, L.K.; Lamb, J. Why Restaurants Fail? Part V: Role of Economic Factors, Risk, Density, Location, Cuisine, Health Code Violations and GIS Factors. Int. J. Hosp. Tour. Adm. 2019, 1-26. [CrossRef]
  26. Camillo, A.A.; Connolly, D.J.; Kim, W.G. Success and failure in Northern California: Critical success factors for independent restaurants. Cornell Hosp. Q. 2008, 49, 364-380. [CrossRef]
  27. Parsa, H.G.; Gregory, A.J. Why Do Restaurants Fail? Part III: An Analysis of Macro and Micro Factors; The Dick Pope Sr. Institute for Tourism Studies: Winter Haven, FL, USA, 2020; p. 20.
  28. Parsa, H.G.; Self, J.T.; Sydnor-Busso, S.; Yoon, H.J. Why Restaurants Fail? Part II-The Impact of Affiliation, Location, and Size on Restaurant Failures: Results from a Survival Analysis. J. Foodserv. Bus. Res. 2011, 14, 360-379. [CrossRef]
  29. Jung, S.; Jang, S. To cluster or not to cluster?: Understanding geographic clustering by restaurant segment. Int. J. Hosp. Manag. 2019, 77, 448-457. [CrossRef]
  30. Wang, Y. The Impact of Crisis Events and Macroeconomic Activity on Taiwan's International Inbound Tourism Demand. Tour. Manag. 2009, 30, 75-82. [CrossRef] [PubMed]
  31. Tse, A.C.B.; So, S.; Sin, L. Crisis management and recovery: How restaurants in Hong Kong responded to SARS. Int. J. Hosp. Manag. 2006, 25, 3-11. [CrossRef]
  32. Chen, M.-H.; Jang, S.; Kim, W.G. The impact of the SARS outbreak on Taiwanese hotel stock performance: An event-study approach. Int. J. Hosp. Manag. 2007, 26, 200-212. [CrossRef] [PubMed]
  33. Muller, C. Restaurant Organizations and the Power of the New Economy: A Pandemic, Labor Value and Lessons From the Past. Boston Hosp. Rev. 2020. Available online: https://www.bu.edu/bhr/2020/03/19/restaurant-organizations-and-the-power-of- the-new-economy-a-pandemic-labor-value-and-lessons-from-the-past/ (accessed on 26 May 2020).
  34. Via Michelin, M. Restaurantes Michelin Portugal. Available online: https://www.viamichelin.pt/web/Restaurantes/Restaurantes- Portugal (accessed on 26 May 2020).
  35. AHRESP. COVID-19 Impacto na Atividade Turística; AHRESP: Lisboa, Portugal, 2020.
  36. Elejabeitia, G. Joan Roca: "La gastronomía se va a liberar de muchos satélites para volver a lo esencial". Caníbales 2020. Available online: https://www.7canibales.com/entrevista/joan-roca-4/ (accessed on 26 May 2020).
  37. Brehaut, L. Noma, Four-Time World's Best Restaurant, to Reopen as a Burger and Wine Bar; National Post: Toronto, ON, USA, 2020.
  38. Solé, C. Martín Berasategui: «Creer en Nosotros Mismos Para Salir de Esta Locura»-Reto Coronavirus. Reto Coronavirus. 2020. Available online: https://retocoronavirus.bculinary.com/martin-berasategui-hay-que-creer-en-nosotros-mismos-para-salir- de-esta-locura/ (accessed on 26 May 2020).
  39. Calvão, D. José Avillez: "Esta Crise vai Mudar o Conceito de Luxo". 2020. Available online: https://mesamarcada.blogs.sapo.pt/ jose-avillez-esta-crise-vai-mudar-o-787825 (accessed on 2 June 2020).
  40. Wilkesmann, U.; Wilkesmann, M. (Fine Dining) Restaurants in the Corona Crisis; Discussion Papers of the Center for Higher Education; Technische Universität Dortmund: Dortmund, Germany, 2020.
  41. Banco de Portugal. Quadros do Setor-Restauração e Similares. Available online: https://www.bportugal.pt/QS/qsweb/ Dashboards (accessed on 15 March 2020).
  42. Agee, J. Developing qualitative research questions: A reflective process. Int. J. Qual. Stud. Educ. 2009, 22, 431-447. [CrossRef]
  43. Basit, T. Manual or electronic? The role of coding in qualitative data analysis. Educ. Res. 2003, 45, 143-154. [CrossRef]
  44. Strauss, A.; Corbin, J. Basics of Qualitative Research Techniques; Sage publications: Thousand Oaks, CA, USA, 1998.
  45. Glaser, B.G.; Strauss, A.L. Discovery of Grounded Theory: Strategies for Qualitative Research; Routledge: London, UK, 2017.
  46. Williams, M.; Moser, T. The Art of Coding and Thematic Exploration in Qualitative Research. Int. Manag. Rev. 2019, 15, 45.
  47. Lichtman, M. Qualitative Research for the Social Sciences; SAGE Publications: Thousand Oaks, CA, USA, 2013.
  48. Fraser, H. Doing Narrative Research: Analysing Personal Stories Line by Line. Qual. Soc. Work 2004, 3, 179-201. [CrossRef]
  49. Elliott, V.F. Thinking about the coding process in qualitative data analysis. Qual. Rep. 2018, 23, 11.
  50. Goulding, C. Grounded Theory: A Practical Guide for Management, Business and Market. Researchers; SAGE Publications: Thousand Oaks, CA, USA, 2002.
  51. Antonakakis, N.; Dragouni, M.; Filis, G. How strong is the linkage between tourism and economic growth in Europe? Econ. Model. 2015, 44, 142-155. [CrossRef]
  52. Bronner, F.; Hoog, R.D. Tourist demand reactions: Symmetric or asymmetric across the business cycle? J. Travel Res. 2017, 56, 839-853. [CrossRef]
  53. Doern, R.; Williams, N.; Vorley, T. Special issue on entrepreneurship and crises: Business as usual? An introduction and review of the literature. Entrep. Reg. Dev. 2019, 31, 400-412. [CrossRef]
  54. Seo, S.; Miao, L.; Almanza, B.; Behnke, C. How Have Restaurant Firms Responded to Food Safety Crises? Evidence from Media Coverage. J. Foodserv. Bus. Res. 2018, 21, 83-105. [CrossRef]
  55. Simmie, J.; Martin, R. The economic resilience of regions: Towards an evolutionary approach. Camb. J. Reg. Econ. Soc. 2010, 3, 27-43. [CrossRef]
  56. Runyan, R.C. Small Business in the Face of Crisis: Identifying Barriers to Recovery from a Natural Disaster1. J. Contingencies Crisis Manag. 2006, 14, 12-26. [CrossRef]
  57. Telukdarie, A.; Munsamy, M.; Mohlala, P. Analysis of the Impact of COVID-19 on the Food and Beverages Manufacturing Sector. Sustainability 2020, 12. [CrossRef]
  58. Dahles, H.; Susilowati, T.P. Business resilience in times of growth and crisis. Ann. Tour. Res. 2015, 51, 34-50. [CrossRef]
  59. El-Gohary, H. Coronavirus and Halal Tourism and Hospitality Industry: Is It a Journey to the Unknown? Sustainability 2020, 12, 9260. [CrossRef]
  60. Napierala, T.; Lesniewska-Napierala, K.; Burski, R. Impact of Geographic Distribution of COVID-19 Cases on Hotels' Perfor- mances: Case of Polish Cities. Sustainability 2020, 12, 4697. [CrossRef]
  61. Aristovnik, A.; Ravšelj, D.; Umek, L. A Bibliometric Analysis of COVID-19 across Science and Social Science Research Landscape. Sustainability 2020, 12, 9132. [CrossRef]

Related papers

Impact and Coping Mechanism of Restaurant Business Amidst Covid-19 Global Pandemic
Ijaems Journal

2021

The study explored the impact of the covid-19 pandemic in the restaurant business in the City of Cabanatuan, Province of Nueva Ecija, Philippines. It also included the coping mechanism they instituted amidst the situation. The sample size consisted of 36 restaurants and eateries. Descriptive research design was used. Results revealed the closure of small restaurants, sales tremendously decreased, loss of income and jobs, loan obligation defaults, and state of mind of its stakeholders. Coping mechanism included the use of massive online advertisements to market the product, selling of ready-to-cook raw materials, shifting and reduced employee work hours, and the use of delivery services. Other problems consisted of unsustained product quality standards, the escalating price of raw materials, and at times unreasonable delivery fees of food couriers.

View PDFchevron_right
We are open: understanding crisis management of restaurants as pandemic hits tourism
Asif Hussain, PhD

Journal of Hospitality, 2021

The global crisis derived from the rapid spread of the Covid-19 has led to the temporary closure of tourism services. As countries and regions come out of the lockdown, a new normal has automatically taken over. Among numerous business, restaurant services are the first to respond to this new normal way of living. As a consequence, this study reviews how restaurants are responding to the new context, where strict measures are required to grant social distance and a safe service provision. Based on published research and news media, this paper reveals how restaurants as a tourism system are resilient and adapting to the coronavirus. Results show the significance of technological, creative and do-it-yourself solutions. The study contributes to the further understanding of the coexistence of tourism and pandemics.

View PDFchevron_right
Assessing the Effects of COVID-19 on Restaurant Business From Restaurant Owners’ Perspective
Shahed Parvez

Frontiers in Psychology

PurposeThe main purpose of this study is to assess the effects of COVID-19 on the restaurant businesses of Bangladesh. It examines the socio-economic impacts of the humanitarian disaster of the COVID-19 pandemic from the perspective of restaurant owners. The study also intends to provide recommendations to mitigate effects on the restaurant business.Design/Methodology/ApproachA qualitative research approach was adopted to explore the effects of the COVID-19 pandemic on the restaurant businesses of Bangladesh. A total of 22 in-depth interviews were conducted with the top-ranked restaurant owners in the Rajshahi City Corporation area of Bangladesh. Thematic analysis technique was applied for analyzing the collected data.FindingsThe study found that the restaurant owners were compelled to reduce their number of employees, and forced to ensure social distancing and proper sanitization which increased the expenses. Although online orders and home delivery services have increased signific...

View PDFchevron_right
Managing Pandemic crisis caused by Covid-19: Example of good practices in a fine dining restaurant
Kemal Enes

Cukurova University Journal of the Social Science Institute, 2023

The covid-19 virus, which spread from China to the whole world in 2019, caused a pandemic all over the world. As a result of the pandemic, As of March 21, 2020, restaurants stopped serving customers. As a result of intermittent curfews, social distancing, etc., the number of customers in restaurants decreased rapidly because people of gave up their eating habits. This study compares, the situation of the restaurant in a 5star hotel in Mersin before and after the Covid-19 pandemic based on the qualitative research method. As a result of the comparison, it is aimed to reveal the results of the proactive approach applied by the establishment. In light of the data obtained, it is seen that the approach exhibited the restaurant has increased the number of customers, sales revenues, and customer satisfaction. It is also important that this situation occurred when most of the establishments in the city were losing money or customers during the first closure period. It is considered that the study will contribute to the literature as it is a good example of proactive strategy development for crisis periods.

View PDFchevron_right
Pivot! How the restaurant industry adapted during COVID-19 restrictions
Scott Taylor Jr

International Hospitality Review

PurposeThe purpose of this systematic review is to highlight some of the business model changes restaurants, bars and beverage producers undertook to modify their operations in order to not only stay in business but also to better serve their employees and communities during the COVID-19 crisis.Design/methodology/approachAn analysis was conducted on 200 industry articles and categorized into three major themes: expansion of take-out/delivery, innovative practices, and community outreach/corporate support, each are further subdivided into additional themes. The systematic review is further supported by personal interviews with industry professionals.FindingsThis research finds that there were many different approaches used in adjusting business models in response to the dining restrictions put in place due to COVID-19. From these approaches, themes were developed which resulted in uncovering some suggestions such as developing contingency plans, being flexible and creative, eliminati...

View PDFchevron_right

Related topics

  • Business
  • Marketing
    • 580 California St., Suite 400
    San Francisco, CA, 94104
    © 2025 Academia. All rights reserved